{"id":2542,"date":"2014-03-31T09:00:56","date_gmt":"2014-03-31T14:00:56","guid":{"rendered":"https:\/\/nybankruptcy.net\/main\/?p=2542"},"modified":"2018-12-07T05:57:34","modified_gmt":"2018-12-07T05:57:34","slug":"mortgage-settlement-ends-as-drop-in-bucket-for-underwater-homeowners","status":"publish","type":"post","link":"https:\/\/nybankruptcy.net\/main\/mortgage-settlement-ends-as-drop-in-bucket-for-underwater-homeowners\/","title":{"rendered":"Mortgage Settlement Ends as Drop in Bucket for Underwater Homeowners"},"content":{"rendered":"

The $50 billion National Mortgage Settlement (NMS) between the U.S. government and 49 states and five large banks was good news for some homeowners who were erroneously foreclosed on and evicted from their homes. Although homeowners only received $20 billion out of the agreement, some of the money was applied to principal reductions on underwater mortgages, relief like short sales and deeds in lieu of foreclosure, and refinancing. At least, this is the good news that comes out of final crediting report by the NMS’s court-appointed monitor, as reported by The Washington Post<\/a><\/em>. Unfortunately, the $20 billion in benefits provided little for the millions of homeowners who still owe more on their mortgages than their houses are worth. For them, bankruptcy might be better than hoping that a negotiated settlement will provide them relief.<\/p>\n

But first, some background on what the NMS has accomplished for 630,000 loans:<\/p>\n